InterDigital Inc (IDCC)

[Jean-Michel RIOND]

Broken80,

In your post you sayed that if the shares are put to you, then you sell calls. Can you explain what is your strategy and when you sell the calls.

Let's take the following example. You sold 25$ puts on may at a price of 2.50$. If on may 16th the shares are at 24$, they put them to you. Would you then sell 22.50$ or 25$ calls but on june. Am I right ?

BTW I've just sold Jan05 25$ puts. That way, I conserve my shares, avoiding the risk of trading, and I make money with the options.